FOMC to Debate Clarifying Rates Path, QE: Decision-Day Guide

  • Forward guidance on rates, purchases may be left to September
  • Fed seen noting how virus surge has hurt economy’s momentum
Photographer: Andrew Harrer/Bloomberg
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Confronting signs that the U.S. economy may be losing momentum, Federal Reserve policy makers will turn their attention to how to jumpstart a stronger rebound from the virus-induced recession.

The Federal Open Market Committee is all but certain to keep its benchmark overnight rate in a target range of 0% to 0.25%, where it’s been since March 15 to help soften the pandemic’s blow. The committee will release a statement at 2 p.m. and Chair Jerome Powell will hold a press conference 30 minutes later. Quarterly forecasts are not due to be updated at this meeting.